The Duo is reportedly planning to join forces on mobile gaming hardware and software with the hope that more companies follow suit
Despite the ongoing tensions between the U.S. and China, Qualcomm and Tencent seem to be less bothered as the duo intends to join forces. Here, the American-based Qualcomm seems to be the one on the demanding end; the company plans to collaborate with the Chinese company’s gaming arm – Tencent Games – inorder to spearhead development on various projects that cover smartphones, 5G, AR, VR, and even cloud gaming – a market where giants like Microsoft and Google are already setting foot with their own services and fostering interest from thousands of developers.
While the collaboration is still yet to be set on motion, it makes a perfect sense to realize that both companies have a lot to gain with respect to the deal, especially when both ends have vital provisions to ‘bring to the table’ (offer).
Qualcomm is one of the giants in the semiconductor industry, with chips that power eight out of ten phones worldwide. Tencent, on the other hand, is China’s largest mobile software company, and the owner of popular social network WeChat – a platform that serves 1 billion users and their digital needs, from messaging to payments and beyond. At that, the deal is expected to offer a 50/50 advantage for the duo.
Also, in line with the new agreement between the two tech giants- henceforth, games developed by Tencent Games – such as PUBG alternative Game for Peace – will be optimized for Android devices that run Qualcomm’s Elite Gaming chips, such as the Snapdragon 855 series.
Meanwhile, Tencent’s ambitions extend to other areas like retro game streaming services and even PC gaming, with the company looking to take on Steam with WeGame – its own digital storefront. The Chinese giant is also quietly testing a cloud gaming service called Instant Play to compete with things like Google Stadia.